SAE
12 years ago
Bio-Rad Reports Third-Quarter Revenue Growth of More Than 9 Percent
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), a multinational manufacturer and distributor of life science research and clinical diagnostic products, announced financial results today for the third quarter ended September 30, 2011.
Third-quarter reported revenues were $516.5 million, up 9.5% compared to $471.5 million reported for the third quarter of 2010. On a currency-neutral basis, quarterly revenues increased 1.1% compared to the same period last year. Third-quarter gross margin increased to 57.3%, compared to 56.5% during the same quarter in 2010.
Net income attributable to Bio-Rad for the third quarter was $45.9 million, or $1.61 per share on a fully diluted basis versus $1.59 per share reported for the same period last year.
Year-to-date revenues grew by 9.3% to $1.5 billion compared to $1.4 billion for the first three quarters of 2010. Adjusting for the impact of currency, revenue growth was 3.4%.
Year-to-date net income attributable to Bio-Rad for 2011 was $119.0 million, or $4.18 per share on a fully diluted basis compared to $117.6 million, or $4.18 per share during the same period in 2010.
"While performance in the third-quarter shows good momentum and growth in many of our core product areas, we are feeling the impact of an uncertain economic environment in many of our markets abroad," said Norman Schwartz, Bio-Rad President and Chief Executive Officer. "As we wrap up the year, we will carefully monitor these pressures on our global operation and look for new opportunities to grow our business."
Life Science
The Life Science segment net sales for the third quarter were $171.5 million, up 11.9% compared to the same period last year. On a currency-neutral basis, Life Science segment sales increased by 5.1% compared to the third quarter of 2010. These results reflect strength of the segment's electrophoresis and imaging product lines, which showed solid growth during the third quarter. Performance was also bolstered by the Company's amplification products, several new product launches, as well as assays for the Bio-Plex® suspension array system, which can analyze up to 100 biomolecules in a single patient sample.
Clinical Diagnostics
Reported net sales for the Clinical Diagnostics segment in the third quarter rose to $341.3 million, up 8.4% compared to the same quarter last year. On a currency-neutral basis, sales were down 0.9%. Overall performance of the Clinical Diagnostics segment was negatively affected by economic challenges impacting worldwide healthcare markets, partially offset by continuing growth of our quality controls and BioPlex® 2200 product lines. In July, the Company announced that it had received FDA Premarket Application approval from the FDA for its fourth-generation HIV assay, the GS HIV Combo Ag/Ab EIA (enzyme immunoassay). The new assay detects both HIV antigens and HIV antibodies, offering earlier detection of HIV infections, including acute HIV infections.
Management will discuss these results in a conference call at 2 PM Pacific Time (5 PM Eastern Time) November 1, 2011. Interested parties may access the call by dialing 800-322-5044 (in the U.S.) or 617-614-4927 (international), access number 51248028.
A live webcast of the conference call may be accessed in the "Investor Relations" section of www.bio-rad.com. A replay of the call will be available at 888-286-8010 (in the U.S.) or 617-801-6888 (international), access number 19666335, for seven days following the call. The webcast of the call will be archived on the Bio-Rad site for on-demand replay for up to a year and may be accessed in the "Investor Relations" section of www.bio-rad.com.
About Bio-Rad
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), has remained at the center of scientific discovery for more than 50 years, manufacturing and distributing a broad range of products for the life science research and clinical diagnostic markets. The Company is renowned worldwide among hospitals, universities, major research institutions, as well as biotechnology and pharmaceutical companies for its commitment to quality and customer service. Founded in 1952, Bio-Rad is headquartered in Hercules, California, and serves more than 85,000 research and industry customers worldwide through its global network of operations. The Company employs over 6,800 people globally and had revenues exceeding $1.9 billion in 2010. For more information, visit www.bio-rad.com.
This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements generally can be identified by the use of forward-looking terminology such as, "believe," "expect," "may," "will," "intend," "estimate," "continue," or similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. For further information regarding the Company's risks and uncertainties, please refer to the "Risk Factors" in the Company's public reports filed with the Securities and Exchange Commission, including the Company's most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K. The Company cautions you not to place undue reliance on forward-looking statements, which reflect an analysis only and speak only as of the date hereof. Bio-Rad Laboratories, Inc., disclaims any obligation to update these forward-looking statements.
Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Income
(in thousands, except per share data)
(UNAUDITED)
Three Months Ended Nine Months Ended
September 30, September 30,
------------------------ ------------------------
2011 2010 2011 2010
----------- ----------- ----------- -----------
Net sales $ 516,514 $ 471,502 $ 1,523,291 $ 1,393,398
Cost of goods sold 220,338 205,172 656,368 601,633
----------- ----------- ----------- -----------
Gross profit 296,176 266,330 866,923 791,765
Selling, general and
administrative
expense 176,867 148,654 521,370 458,541
Research and
development expense 45,387 42,874 136,327 126,999
----------- ----------- ----------- -----------
Income from operations 73,922 74,802 209,226 206,225
Interest expense 12,341 14,400 41,148 43,169
Foreign exchange
losses, net 6,346 2,749 12,132 3,546
Other (income)
expense, net (538) (256) (5,907) (3,572)
----------- ----------- ----------- -----------
Income before income
taxes 55,773 57,909 161,853 163,082
Provision for income
taxes (9,911) (12,824) (43,031) (44,084)
----------- ----------- ----------- -----------
Net income including
noncontrolling
interests 45,862 45,085 118,822 118,998
Net loss (income)
attributable to
noncontrolling
interests 35 (321) 162 (1,416)
----------- ----------- ----------- -----------
Net income attributable
to Bio-Rad $ 45,897 $ 44,764 $ 118,984 $ 117,582
=========== =========== =========== ===========
Basic earnings per
share:
Net income per share
basic attributable to
Bio-Rad $ 1.63 $ 1.62 $ 4.25 $ 4.26
=========== =========== =========== ===========
Weighted average
common shares - basic 28,072 27,697 27,997 27,616
=========== =========== =========== ===========
Diluted earnings per
share:
Net income per share
diluted attributable
to Bio-Rad $ 1.61 $ 1.59 $ 4.18 $ 4.18
=========== =========== =========== ===========
Weighted average
common shares -
diluted 28,456 28,103 28,454 28,110
=========== =========== =========== ===========
Bio-Rad Laboratories, Inc.
Condensed Consolidated Balance Sheets
(in thousands)
September 30, December 31,
2011 2010
-------------- --------------
(UNAUDITED)
Current assets:
Cash and cash equivalents $ 671,028 $ 906,551
Restricted cash - 6,422
Short-term investments 239,174 118,636
Accounts receivable, net 375,031 387,996
Inventories, net 445,581 398,100
Other current assets 146,889 157,641
-------------- --------------
Total current assets 1,877,703 1,975,346
Property, plant and equipment, net 338,942 333,617
Goodwill, net 371,227 363,981
Purchased intangibles, net 180,228 203,881
Other assets 201,695 185,939
-------------- --------------
Total assets $ 2,969,795 $ 3,062,764
============== ==============
Current liabilities:
Accounts payable $ 113,476 $ 113,440
Accrued payroll and employee benefits 120,167 131,381
Notes payable and current maturities of
long-term debt 806 233,181
Income and other taxes payable 46,368 50,935
Other current liabilities 134,509 137,690
-------------- --------------
Total current liabilities 415,326 666,627
Long-term debt, net of current maturities 731,597 731,100
Other long-term liabilities 129,226 124,518
-------------- --------------
Total liabilities 1,276,149 1,522,245
Bio-Rad stockholders' equity 1,693,149 1,536,696
Noncontrolling interests 497 3,823
-------------- --------------
Total stockholders' equity 1,693,646 1,540,519
-------------- --------------
Total liabilities and stockholders' equity $ 2,969,795 $ 3,062,764
============== ==============
Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Cash Flows
(in thousands)
(UNAUDITED)
Nine Months
Ended September 30,
2011 2010
------------- -------------
Cash flows from operating activities:
Cash received from customers $ 1,508,934 $ 1,367,777
Cash paid to suppliers and employees (1,249,674) (1,143,699)
Interest paid (46,086) (48,812)
Income tax payments (38,029) (50,254)
Other operating activities 6,094 509
------------- -------------
Net cash provided by operating activities 181,239 125,521
Cash flows from investing activities:
Payments for acquisitions and long-term
investments (8,698) (88,694)
Other investing activities (205,191) (75,716)
------------- -------------
Net cash used in investing activities (213,889) (164,410)
Cash flows from financing activities:
Long-term borrowings - 2,000
Payments on long-term borrowings (226,615) (5,441)
Other financing activities 14,788 10,664
------------- -------------
Net cash (used in) provided by financing
activities (211,827) 7,223
Effect of foreign exchange rate changes on
cash 8,954 12,368
------------- -------------
Net decrease in cash and cash equivalents (235,523) (19,298)
Cash and cash equivalents at beginning of
period 906,551 649,938
------------- -------------
Cash and cash equivalents at end of period $ 671,028 $ 630,640
============= =============
Reconciliation of net income including
noncontrolling interests to net cash provided
by operating activities:
Net income including noncontrolling interests $ 118,822 $ 118,998
Adjustments to reconcile net income including
noncontrolling interests to net cash provided
by operating activities:
Depreciation and amortization 88,127 79,964
Changes in working capital (49,450) (73,589)
Other 23,740 148
------------- -------------
Net cash provided by operating activities $ 181,239 $ 125,521
============= =============
For more information contact:
Christine Tsingos
Vice President and Chief Financial Officer
or
Ron Hutton
Treasurer
Bio-Rad Laboratories, Inc.
510-724-7000
http://ih.advfn.com/p.php?pid=nmona&article=49763989
SAE
13 years ago
Bio-Rad Reports First-Quarter Currency-Neutral Revenue Growth of 4.9 Percent
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), a multinational manufacturer and distributor of life science research and clinical diagnostic products, announced financial results today for the first quarter ended March 31, 2011.
First-quarter reported revenues were $485.1 million, up 6.8% compared to $454.2 million reported for the first quarter of 2010. On a currency-neutral basis, quarterly revenues increased 4.9% compared to the same period last year. First-quarter gross margin was 57.2% compared to 56.6% during the same quarter last year. Net income attributable to Bio-Rad for the first quarter of 2011 was $33.0 million, or $1.16 per share on a fully diluted basis compared to $1.24 per share, during the same period last year. Earnings per share in the first quarter was negatively impacted by one-time expenses of approximately $4 million related to the retirement of debt as well as a higher effective tax rate for the quarter, primarily due to adjustments to foreign tax credits.
"Performance in the first quarter reflects strength across many of our product areas," said Norman Schwartz, Bio-Rad President and Chief Executive Officer. "As we had anticipated, budgetary constraints faced by some of our customers outside the U.S. had an impact on our performance during the quarter. As the year progresses, we will continue to seek opportunities to improve our operational efficiencies and grow our business."
Life Science
The Life Science segment net sales for the first quarter were $154.5 million, up 2.1% compared to the first quarter of 2010. On a currency-neutral basis, Life Science segment sales were essentially flat compared to the same period last year. Sales in the U.S. for the Life Science segment were strong but were offset by a continued slowness during the first quarter in markets outside the U.S., primarily in Europe and Japan. Sales of recently introduced products continued to gain rapid customer acceptance in the first quarter, these include the TC10™ automated cell counter as well as the Mini-PROTEAN® TGX™ precast electrophoresis gel product line. In March, Bio-Rad launched the Trans-Blot® Turbo™ transfer system, a rapid western blotting instrument that allows researchers to efficiently transfer proteins from gel to blot in three minutes.
Clinical Diagnostics
The Clinical Diagnostics segment reported net sales of $327.2 million for the first quarter, up 9.1% compared to the first quarter in 2010. On a currency-neutral basis, net sales were up 7.3% from the same period last year. These gains were largely due to growth across product lines most notably blood typing, quality controls, and microbiology. Performance in the Clinical Diagnostics segment also benefited from placements of the Company's BioPlex® 2200 system in addition to sales of assays that run on the system. Customer interest of the Company's IH-1000 blood typing system continues to increase in markets outside the U.S. The instrument is a fully-automated, high-throughput system designed for the blood transfusion laboratory.
Management will discuss these results in a conference call at 2 PM Pacific Time (5 PM Eastern Time) May 3, 2011. Interested parties may access the call by dialing 800-261-3417 (in the U.S.) or 617-614-3673 (international), access number 12268652.
A live webcast of the conference call may be accessed in the "Investor Relations" section of www.bio-rad.com. A replay of the call will be available at 888-286-8010 (in the U.S.) or 617-801-6888 (international), access number 45024697, for seven days following the call. The webcast of the call will be archived on the Bio-Rad site for on-demand replay for up to a year and may be accessed in the "Investor Relations" section of www.bio-rad.com.
About Bio-Rad
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B) has remained at the center of scientific discovery for more than 50 years, manufacturing and distributing a broad range of products for the life science research and clinical diagnostic markets. The Company is renowned worldwide among hospitals, universities, major research institutions, as well as biotechnology and pharmaceutical companies for its commitment to quality and customer service. Founded in 1952, Bio-Rad is headquartered in Hercules, California, and serves more than 100,000 research and industry customers worldwide through its global network of operations. The Company employs over 6,800 people globally and had revenues exceeding $1.9 billion in 2010. For more information, visit www.bio-rad.com.
This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements generally can be identified by the use of forward-looking terminology such as, "believe," "expect," "may," "will," "intend," "estimate," "continue," or similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. For further information regarding the Company's risks and uncertainties, please refer to the "Risk Factors" in the Company's public reports filed with the Securities and Exchange Commission, including the Company's most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. The Company cautions you not to place undue reliance on forward-looking statements, which reflect an analysis only and speak only as of the date hereof. Bio-Rad Laboratories, Inc., disclaims any obligation to update these forward-looking statements.
Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Income
(in thousands, except per share data)
(UNAUDITED)
Three Months Ended
March 31,
--------------------------
2011 2010
------------ ------------
Net sales $ 485,121 $ 454,234
Cost of goods sold 207,510 197,107
------------ ------------
Gross profit 277,611 257,127
Selling, general and administrative expense 167,763 153,617
Research and development expense 42,730 40,263
------------ ------------
Income from operations 67,118 63,247
Interest expense 16,766 14,444
Foreign exchange losses (gains), net 3,042 (217)
Other (income) expense, net (951) (799)
------------ ------------
Income before income taxes 48,261 49,819
Provision for income taxes (15,323) (14,427)
------------ ------------
Net income including noncontrolling interests 32,938 35,392
Net loss (income) attributable to
noncontrolling interests 101 (531)
------------ ------------
Net income attributable to Bio-Rad $ 33,039 $ 34,861
============ ============
Basic earnings per share:
Net income per share basic attributable to
Bio-Rad $ 1.18 $ 1.27
============ ============
Weighted average common shares - basic 27,904 27,545
============ ============
Diluted earnings per share:
Net income per share diluted attributable to
Bio-Rad $ 1.16 $ 1.24
============ ============
Weighted average common shares - diluted 28,389 28,072
============ ============
Bio-Rad Laboratories, Inc.
Condensed Consolidated Balance Sheets
(In thousands)
(UNAUDITED)
March 31, December 31,
2011 2010
------------- -------------
Current assets:
Cash and cash equivalents $ 627,908 $ 906,551
Restricted cash 6,533 6,422
Short-term investments 163,528 118,636
Accounts receivable, net 388,554 387,996
Inventories 429,975 398,100
Other current assets 180,812 157,641
------------- -------------
Total current assets 1,797,310 1,975,346
Property, plant and equipment, net 337,625 333,617
Goodwill, net 369,107 363,981
Purchased intangibles, net 198,658 203,881
Other assets 206,073 185,939
------------- -------------
Total assets $ 2,908,773 $ 3,062,764
============= =============
Current liabilities:
Accounts payable $ 111,373 $ 113,440
Accrued payroll and employee benefits 116,733 131,381
Notes payable and current maturities of
long-term debt 10,269 233,181
Income and other taxes payable 59,658 50,935
Other current liabilities 129,558 137,690
------------- -------------
Total current liabilities 427,591 666,627
Long-term debt, net of current maturities 731,214 731,100
Other long-term liabilities 136,480 124,518
------------- -------------
Total liabilities 1,295,285 1,522,245
Bio-Rad stockholders' equity 1,612,292 1,536,696
Noncontrolling interests 1,196 3,823
------------- -------------
Total stockholders' equity 1,613,488 1,540,519
------------- -------------
Total liabilities and stockholders'
equity $ 2,908,773 $ 3,062,764
============= =============
Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Cash Flows
(In thousands)
(UNAUDITED)
Three Months Ended
March 31,
2011 2010
------------ ------------
Cash flows from operating activities:
Cash received from customers $ 496,749 $ 445,669
Cash paid to suppliers and employees (436,430) (389,505)
Interest paid (22,189) (21,086)
Income tax payments (18,373) (13,279)
Other operating activities 25 470
------------ ------------
Net cash provided by operating activities 19,782 22,269
Cash flows from investing activities:
Payment for acquisitions and long-term
investments (3,571) (66,496)
Other investing activities (73,722) (10,518)
------------ ------------
Net cash used in investing activities (77,293) (77,014)
Cash flows from financing activities:
Payments on long-term borrowings (225,763) (1,595)
Other financing activities 11,020 2,628
------------ ------------
Net cash (used in) provided by financing
activities (214,743) 1,033
Effect of foreign exchange rate changes on cash (6,389) 1,908
------------ ------------
Net decrease in cash and cash equivalents (278,643) (51,804)
Cash and cash equivalents at beginning of
period 906,551 649,938
------------ ------------
Cash and cash equivalents at end of period $ 627,908 $ 598,134
============ ============
Reconciliation of net income including
noncontrolling interests to net cash
provided by operating activities:
Net income including noncontrolling interests $ 32,938 $ 35,392
Adjustments to reconcile net income including
noncontrolling interests to net cash provided
by operating activities:
Depreciation and amortization 28,115 27,548
Changes in working capital (54,625) (32,746)
Other 13,354 (7,925)
------------ ------------
Net cash provided by operating activities $ 19,782 $ 22,269
============ ============
For more information contact:
Christine Tsingos
Vice President and Chief Financial Officer
or
Ron Hutton
Treasurer
Bio-Rad Laboratories, Inc.
510-724-7000
http://ih.advfn.com/p.php?pid=nmona&article=47514306
SAE
13 years ago
Bio-Rad Reports Record Fourth-Quarter and Full-Year 2010 Financial Results
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), a multinational manufacturer and distributor of life science research and clinical diagnostic products, announced financial results today for the fourth quarter and fiscal year ended December 31, 2010.
Fourth-quarter reported revenues were $533.7 million, up 7.8% compared to $495.1 million reported for the fourth quarter of 2009. On a currency-neutral basis, quarterly revenues increased 9.9% compared to the same period last year. This increase was the result of organic growth across Bio-Rad's two main areas, Life Science and Clinical Diagnostics as well as revenue of $15.3 million resulting from the acquisition of certain diagnostics businesses of Biotest AG, which were added to the Company's portfolio in the first quarter of 2010. Excluding the revenue from the Biotest acquisition, fourth-quarter revenues were up 6.7% on a currency neutral basis. Fourth-quarter gross margin increased to 56.2% compared to 54.2% during the same quarter last year.
Net income attributable to Bio-Rad for the fourth quarter of 2010 was $67.9 million, or $2.41 per share on a fully diluted basis compared to $1.35 per share, during the same period last year. In December, the Company refinanced a portion of its long-term debt issuing $425 million of senior debt. Proceeds were used to retire $200 million of subordinated debt in December and, subsequent to year end, $225 million of subordinated debt. The effect of this transaction on pretax earnings for the fourth quarter of 2010 was $5.3 million, which is included in interest expense.
The tax provision for the fourth quarter was a benefit of $10.7 million. This extraordinary fourth-quarter provision benefit includes the repatriation of foreign earnings to the U.S. and the favorable impact of the extension of the U.S. Research and Experimentation tax credit. Without these two items, the fourth-quarter effective tax rate would have been approximately 25%.
For the full year, sales grew by 8.0% to $1,927.1 million compared to $1,784.2 million in 2009. Year over year, there was insignificant currency impact on sales growth. Full-year net income attributable to Bio-Rad was $185.5 million, or $6.59 per share on a fully diluted basis, compared to $144.6 million, or $5.20 per share, respectively, in 2009. Full-year gross margin increased to 56.6% compared to last year's figure of 56.0%.
"We are pleased by our performance during the fourth quarter and the entire year," said Norman Schwartz, Bio-Rad President and Chief Executive Officer. "In spite of a cautious business environment in the U.S. and Europe throughout 2010, we are encouraged by customer acceptance of several new products including our TC10™ automated cell counter and our IH-1000 automated blood typing platform. Although continued economic pressure from European markets is predicted, we expect 2011 to be another year of progress for Bio-Rad."
Life Science
The Life Science segment net sales for the fourth quarter were $192.9 million, up 1.0% compared to the same period last year. On a currency-neutral basis, Life Science segment sales increased by 2.2%. Full-year reported revenues for the Life Science segment were $648.1 million, up 2.6% over the prior year, or an increase of 2.2% on a currency-neutral basis. European sales continued to lag in the fourth quarter as a result of weak economic conditions facing government-funded research. During the quarter, the Life Science segment benefited from sales of precast electrophoresis gels as well as its next generation PCR instruments, in particular, the CFX96™ real-time PCR detection system.
The TC10 automated cell counter also continued to gain rapid customer acceptance on a global basis. In November, Bio-Rad launched the Criterion® TGX Stain-Free™ precast electrophoresis gels which, when combined with Bio-Rad's Gel Doc™ EZ imager, provide researchers with the fastest protein separation and visualization available.
Clinical Diagnostics
The Clinical Diagnostics segment reported net sales of $336.5 million for the fourth quarter, up 12.0% compared to the same period in 2009. On a currency-neutral basis, net sales were up 14.7%. These results include additional revenue of $15.3 million from the diagnostics businesses of Biotest AG that were added to the Company's portfolio in the first quarter of 2010. Excluding revenue from the Biotest acquisition, net sales were up 9.3% on a currency-neutral basis compared to the same quarter last year. Full-year reported revenues for the Clinical Diagnostics segment were $1,265.3 million, an increase of 11.0% over the prior year. On a currency-neutral basis, full-year sales increased 11.3% compared to 2009 results. Excluding revenue from the Biotest acquisition, full-year sales increased 6.3% on a currency neutral basis. Performance in the Clinical Diagnostics segment during the fourth quarter was the result of growth across all product lines, most notably quality controls, blood typing, diabetes monitoring, as well as sales of the BioPlex 2200® system. During the fourth quarter, the Company announced FDA clearance and the U.S. launch of Bio-Rad's BioPlex® 2200 Anti-CCP test for the early detection of rheumatoid arthritis. This novel marker has been shown to have superior diagnostic specificity.
2010 Full-Year Highlights
-- Full-year Company sales grew by 8.0% to $1,927.1 million.
-- Year-over-year net income was $185.5 million, or $6.59 per share on a
fully diluted basis, compared to $144.6 million, or $5.20 per share in
2009.
-- In January, Bio-Rad completed the purchase of certain diagnostics
businesses of Biotest AG including its diagnostics products in the
areas of blood transfusion testing, transplantation, and infectious
diseases.
-- Also, in January, Bio-Rad announced the launch of a new Anti-CCP test
for markets outside the U.S. for its BioPlex 2200 system for the early
detection of rheumatoid arthritis. After receiving FDA clearance later
in the year, the product was launched in the U.S.
-- In March, Bio-Rad announced the launch of the Mini-PROTEAN® TGX™
precast gels that provide researchers with the fastest running, long
shelf life precast gels for protein electrophoresis.
-- In May, Bio-Rad introduced the TC10 automated cell counter, which
accurately and reproducibly provides total mammalian cell counts in 30
seconds, eliminating the need for manually counting cells.
-- Also in May, the Clinical Diagnostics segment announced the launch of
the BioPlex® 2200 MMRV IgG kit (measles, mumps, rubella, and the
varicella-zoster virus) for use on the company's BioPlex 2200 system.
-- During the second quarter, Bio-Rad received notification from the FDA
that it could proceed with an Investigational New Drug Study for its
Dengue NS1 Ag microplate assay.
-- In June, Bio-Rad announced the launch of its IH-1000 blood screening
system for markets outside the U.S.
-- In July, Bio-Rad submitted Premarket Approval application to the FDA
for its fourth-generation HIV assay, the GS HIV Combo Ag/Ab EIA (enzyme
immunoassay), offering early detection of HIV infections as well as
acute HIV infections.
-- In September, Bio-Rad announced the launch of the Gel Doc EZ imager,
the first gel documentation system that provides publication-quality
images and analysis in seconds.
-- In November, the Life Science segment launched Criterion TGX Stain-Free
precast gels which, when combined with Bio-Rad's Gel Doc EZ imager,
provide researchers with the fastest protein separation and
visualization available.
-- In December, Bio-Rad successfully issued $425 million of senior debt.
As a result of that transaction, the Company redeemed $200 million of
subordinated debt originally due in 2014. Subsequently, in January
2011, the Company redeemed $225 million of subordinated debt originally
due 2013...Much more at link below, Stockinvestor
http://ih.advfn.com/p.php?pid=nmona&article=46616267
SAE
13 years ago
Bio-Rad Reports Third-Quarter Currency-Neutral Revenue Growth of More Than 5 Percent
Today : Wednesday 3 November 2010
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), a multinational manufacturer and distributor of life science research and clinical diagnostic products, announced financial results today for the third quarter ended September 30, 2010.
Third-quarter reported revenues were $471.5 million, up 2.3% compared to $461.1 million reported for the third quarter of 2009. On a currency-neutral basis, quarterly revenues increased 5.4% compared to the same period last year. Reflected in these results is $13.6 million additional revenue generated by certain diagnostics businesses of Biotest AG, which were added to the Company's portfolio in the first quarter of 2010. Excluding the revenue from the Biotest acquisition, third-quarter revenues were down 0.7% or up 2.2% on a currency neutral basis, compared to the same period last year. Third-quarter gross margin was 56.5%, unchanged, compared to the same quarter in 2009.
Net income attributable to Bio-Rad for the third quarter was $44.8 million or $1.59 per share on a fully diluted basis versus $1.38 per share reported for the same period last year.
Year-to-date revenues grew by 8.1% to $1.4 billion compared to the first three quarters in 2009. Adjusting for the impact of currency, revenue growth was 7.3%. Excluding the additional revenue from the Biotest acquisition, year-to-date organic revenues grew by 4.9%, or 4.1% on a currency-neutral basis.
Year-to-date net income attributable to Bio-Rad for 2010 was $117.6 million, or $4.18 per share on a fully diluted basis, compared to $106.8 million, or $3.85 per share, respectively, during the same period in 2009.
"Third-quarter results show consistency in many of our core product areas in spite of some weak markets in the U.S. and abroad," said Norman Schwartz, Bio-Rad President and Chief Executive Officer. "As the year wraps up, we will carefully monitor economic pressure on our global operation and look for new opportunities to grow our business."
Life Science
The Life Science segment net sales for the third quarter were $153.2 million, up 1.9% compared to the same period last year. On a currency-neutral basis, Life Science segment sales increased by 3.5% compared to the third quarter of 2009. Sales growth of the Life Science segment in the U.S. reflects strength in spending by academic and biopharmaceutical customers; European sales continue to lag due to weak economic conditions facing government-funded research. Performance of the segment benefited from strong sales of core product lines including the Company's next generation PCR instruments, in particular, the CFX96™ real-time PCR detection system and associated reagents as well as the TC10™ automated cell counter, which was introduced earlier this year. Bio-Rad's Mini-PROTEAN® TGX™ precast electrophoresis gel product line, which offers high resolution and fast time to results is also continuing to gain customer acceptance.
Clinical Diagnostics
Reported net sales for the Clinical Diagnostics segment in the third quarter rose to $314.9 million, up 2.4% compared to the same quarter last year. On a currency-neutral basis, net sales were up 6.3%. These results reflect additional revenue of $13.6 million from the diagnostics businesses of Biotest AG that were added to the Company's portfolio in the first quarter. Excluding revenue from the Biotest acquisition, net sales were up 1.5 % on a currency-neutral basis compared to the same period last year. Overall performance of the Clinical Diagnostics segment was negatively affected by economic challenges impacting healthcare markets in the U.S. and Europe as well as certain sales in 2009 that did not recur in 2010. In July, Bio-Rad submitted a Premarket Approval application to the U.S. Food and Drug Administration for its fourth-generation HIV assay, the GS HIV Combo Ag/Ab EIA (enzyme immunoassay). The test detects HIV antigens (proteins that are part of the HIV virus) and HIV antibodies (proteins that are produced by the body to fight the HIV infection), offering earlier detection of HIV infections.
Internal Control Over Financial Reporting
In connection with our audit committee's ongoing investigation of our compliance with the FCPA and internal control assessment by management and our internal audit group during our fiscal quarter ended September 30, 2010, we identified three significant deficiencies in our internal control over financial reporting as of September 30, 2010 that, when considered and taken together, constitute a material weakness in our internal control over financial reporting as of September 30, 2010. Our conclusion that we have a material weakness in our internal control over financial reporting as of September 30, 2010 is not based on quantified misstatements in our historical financial statements or our financial statements as of and for our fiscal quarter ended September 30, 2010, but instead on the risk that we may be unable to prevent or detect on a timely basis potential material errors in our future financial statements. We do not presently anticipate that the material weakness in our internal control over financial reporting as of September 30, 2010 will have any material effect on our previously reported financial results or our financial results for our fiscal quarter ended September 30, 2010. Our Quarterly Report on Form 10-Q for our fiscal quarter ended September 30, 2010 will contain more information about these three significant deficiencies and the resulting material weakness and the measures that we are considering initiating to attempt to remediate it.
Management will discuss these results in a conference call at 2 PM Pacific Time (5 PM Eastern Time) November 2, 2010. Interested parties may access the call by dialing 800-659-2032 (in the U.S.) or 617-614-2712 (international), access number 52899247.
A live webcast of the conference call may be accessed in the "Investor Relations" section of www.bio-rad.com. A replay of the call will be available at 888-286-8010 (in the U.S.) or 617-801-6888 (international), access number 98042813, for seven days following the call. The webcast of the call will be archived on the Bio-Rad site for on-demand replay for up to a year and may be accessed in the "Investor Relations" section of www.bio-rad.com.
About Bio-Rad
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), has remained at the center of scientific discovery for more than 50 years, manufacturing and distributing a broad range of products for the life science research and clinical diagnostic markets. The Company is renowned worldwide among hospitals, universities, major research institutions, as well as biotechnology and pharmaceutical companies for its commitment to quality and customer service. Founded in 1952, Bio-Rad is headquartered in Hercules, California, and serves more than 85,000 research and industry customers worldwide through its global network of operations. The Company employs over 6,800 people globally and had revenues of nearly $1.8 billion in 2009. For more information, visit www.bio-rad.com.
This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements generally can be identified by the use of forward-looking terminology such as, "believe," "expect," "may," "will," "intend," "estimate," "continue," or similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. For further information regarding the Company's risks and uncertainties, please refer to the "Risk Factors" in the Company's public reports filed with the Securities and Exchange Commission, including the Company's most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and Current Reports on Form 8-K. The Company cautions you not to place undue reliance on forward-looking statements, which reflect an analysis only and speak only as of the date hereof. Bio-Rad Laboratories, Inc., disclaims any obligation to update these forward-looking statements...
http://ih.advfn.com/p.php?pid=nmona&article=45045018
SAE
14 years ago
Form 10-Q for BIO RAD LABORATORIES INC
--------------------------------------------------------------------------------
6-Aug-2010
Quarterly Report
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations
This discussion should be read in conjunction with the information contained in both our Consolidated Financial Statements for the year ended December 31, 2009 and this report for the three and six months ended June 30, 2010.
Other than statements of historical fact, statements made in this report include forward looking statements, such as statements with respect to our future financial performance, operating results, plans and objectives that involve risk and uncertainties. Forward-looking statements generally can be identified by the use of forward-looking terminology such as, "believe," "expect," "may," "will," "intend," "estimate," "continue," or similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. We have based these forward looking statements on our current expectations and projections about future events. However, actual results may differ materially from those currently anticipated depending on a variety of risk factors including among other things:
changes in general domestic and worldwide economic conditions; our ability to successfully develop and market new products; our reliance on and access to necessary intellectual property; our ability to successfully integrate any acquired business; our substantial leverage and ability to service our debt; competition in and government regulation of the industries in which we operate; and the monetary policies of various countries. We caution you not to place undue reliance on forward-looking statements, which reflect an analysis only and speak only as of the date hereof. We undertake no obligation to publicly update or revise any forward looking statements, whether as a result of new information, future events, or otherwise except as required by Federal Securities law.
Overview. We are a multinational manufacturer and worldwide distributor of our own life science research and clinical diagnostics products. Our business is organized into two primary segments, Life Science and Clinical Diagnostics, with the mission to provide scientists with specialized tools needed for biological research and clinical diagnostics. We sell more than 8,000 products and services to a diverse client base comprised of scientific research, healthcare, education and government customers worldwide. We manufacture and supply our customers with a range of reagents, apparatus and equipment to separate complex chemical and biological materials and to identify, analyze and purify components. Because our customers require standardization for their experiments and test results, much of our revenues are recurring. Approximately 32% of our year-to-date 2010 consolidated net sales are from the United States and approximately 68% are from international locations. The international sales are largely denominated in local currencies such as the Euro, Swiss Franc, Japanese Yen and British Sterling. As a result, our consolidated net sales expressed in dollars benefit when the U.S. dollar weakens and suffer when the dollar strengthens. When the U.S. dollar strengthens, we benefit from lower cost of sales from our own international manufacturing sites as well as non-U.S. suppliers and from lower international operating expenses.
The market for reagents and apparatus remains good while growth rates have slowed due to both public and private grant funding being more measured. The market for large capital equipment has slowed, as many pharmaceutical and biotechnology customers delayed or reduced their capital spending. We are generally less impacted by trends in capital spending as lower priced reagents and apparatus comprise more than 70% of product sales.
On January 6, 2010, we acquired certain diagnostic businesses of Biotest AG (Biotest). This 45 million Euro acquisition is expected to broaden our product offering in the area of immunohematology and provide access to the U.S. markets for these products.
The following shows gross profit and expense items as a percentage of net sales:
Three Months Ended Six Months Ended
June 30, June 30,
2010 2009 2010 2009
Net sales 100.0 % 100.0 % 100.0 % 100.0 %
Cost of goods sold 42.6 43.4 43.0 43.1
Gross profit 57.4 56.6 57.0 56.9
Selling, general and administrative expense 33.4 33.6 33.6 34.3
Research and development expense 9.4 9.9 9.1 9.6
Net income attributable to Bio-Rad 8.1 8.9 7.9 8.2
Critical Accounting Policies and Estimates
As previously disclosed in our Annual Report on Form 10-K for the year ended December 31, 2009, we have identified accounting for income taxes, valuation of goodwill and long-lived assets, valuation of inventories, warranty reserves, valuation of investments, allowance for doubtful accounts and litigation accruals as the accounting policies and estimates critical to the operations of Bio-Rad.
An accounting policy is deemed to be critical if it requires an accounting estimate to be made based on assumptions about matters that are highly uncertain at the time the estimate is made, if different estimates reasonably could have been used, or if changes in the estimate that are reasonably likely to occur could materially impact the financial statements. Management believes that there have been no significant changes during the six months ended June 30, 2010 to the items that we disclosed as our critical accounting policies and estimates in Management's Discussion and Analysis of Financial Condition and Results of Operations in our Annual Report on Form 10-K for the fiscal year ended December 31, 2009. For a full discussion of these policies, please refer to our Form 10-K for the period ended December 31, 2009.
Three Months Ended June 30, 2010 Compared to
Three Months Ended June 30, 2009
Corporate Results -- Sales, Margins and Expenses
Net sales (sales) in the second quarter of 2010 increased 9.5% to $467.7 million from $427.2 million in the second quarter of 2009, with Biotest contributing approximately $14.5 million to the growth in sales. Excluding the impact of foreign currency, second quarter 2010 sales increased by approximately 9.0% compared to the same period in 2009. Currency neutral sales growth, excluding Biotest, was reflected in all regions, but primarily for Asia Pacific and Emerging Markets.
The Life Science segment sales for the second quarter of 2010 was relatively flat with sales of $150.7 million compared to $149.7 million in the same period last year. On a currency neutral basis, there was a slight decrease in sales for the second quarter of 2010 compared to the second quarter of 2009. We have seen weakness in government support and spending for research and development, especially in Europe.
The Clinical Diagnostics segment reported sales for the second quarter of 2010 of $314.1 million, an increase of 14.5% compared to the same period last year, with Biotest contributing approximately 5.3% to the sales growth. On a currency neutral basis, sales increased 14.1% including Biotest compared to the second quarter of 2009. Clinical Diagnostics product lines showing growth were immunohematology (before the contribution of Biotest), quality controls and reagent products. The most significant sales growth was in the Asia Pacific and Emerging Markets regions.
Consolidated gross margins were 57.4% for the second quarter of 2010 compared to 56.6% for the second quarter of 2009. Life Science segment gross margins for the second quarter of 2010 improved from the same period last year by approximately 1.6%. The increase was primarily due to improved manufacturing overhead absorption and a reduction in costs. Clinical Diagnostics segment gross margins for the second quarter of 2010 were relatively flat compared to the same period last year. Biotest had a negative impact on Clinical Diagnostics gross margins primarily due to overall generally lower margins than historical segment gross margins as a result of purchase accounting, lower volumes related to total capacity and a current higher cost structure.
Increases in Clinical Diagnostics gross margins were from the settlement of intellectual property disputes.
Selling, general and administrative expenses (SG&A) represented 33.4% of sales for the second quarter of 2010 compared to 33.6% of sales for the second quarter of 2009. Growth in absolute SG&A spending was less than sales growth.
Increases were primarily driven by employee related costs, marketing, travel, and professional services.
Research and development expense increased to $43.9 million in the second quarter of 2010 compared to $42.4 million in the second quarter of 2009. Life Science segment research and development expense increased from the prior year quarter. Life Science segment efforts concentrated on genomics, proteomics and process chromatography applications. Clinical Diagnostics segment research and development expense was flat compared to the prior year period as the prior year had larger spending for the recently released IH 1000 blood typing system and the spending increased during the second quarter of 2010 for other projects.
Corporate Results - Other Items
Interest expense for the second quarter of 2010 increased by $4.0 million compared to the second quarter of 2009. An additional $300 million of 8.0% Senior Subordinated Notes due in 2016 were issued in May 2009, which increased our interest expense compared to the second quarter of 2009. Our other principal debt obligations are the 2003 and 2004 Senior Subordinated Notes totaling $425.0 million, which carry fixed rates of interest of 7.5% and 6.125%, respectively.
Foreign currency exchange gains and losses consist of foreign currency transaction gains and losses on intercompany net receivables and payables and the change in fair value of our forward foreign exchange contracts used to manage our foreign currency exchange risk. Foreign currency exchange losses, net for the quarter ended June 30, 2010 and 2009 were primarily attributable to market volatility, costs to hedge, and the result of the estimating process inherent in the timing of shipments and payments of intercompany debt.
Other income, net for the second quarter of 2010 was $2.5 million compared to $6.3 million for the second quarter of 2009, a decrease of $3.8 million. The decrease primarily resulted from non-recurring income of $4.6 million in 2009 related to the relief of a foreign non-income based tax obligation.
Our effective tax rate was 30% and 20% for the second quarter of 2010 and 2009, respectively. The effective tax rates for the second quarter of 2010 and 2009 both reflected tax benefits for nontaxable dividend income, research and development tax credits, and differences between U.S. and foreign rates. The higher effective tax rate for the second quarter of 2010 was primarily due to a decline in the percentage of total earnings earned in lower tax jurisdictions, the expiration of the research and development tax credit in the U.S. and an increase in the liability for uncertain tax positions.
Our effective tax rate may be impacted in the future, either favorably or unfavorably, by many factors including but not limited to statutory tax rates, changes in tax laws or regulations, tax audits and settlements, and generation of tax credits.
Six Months Ended June 30, 2010 Compared to
Six Months Ended June 30, 2009
Corporate Results - Sales, Margins and Expenses
Net sales (sales) in the first half of 2010 increased 11.3% to $921.9 million from $828.1 million in the first half of 2009, with Biotest contributing approximately $27.2 million to the growth in sales. Excluding the impact of foreign currency, second quarter 2010 sales increased by approximately 8.4% compared to the same period in 2009. Currency neutral sales growth, excluding Biotest, was achieved in all regions, but primarily in Asia Pacific and Emerging Markets.
The Life Science segment sales for the first half of 2010 were $302.0 million, an increase of 4.1%, or 1.6% on a currency neutral basis, compared to the same period last year. Sales growth was primarily attributed to real-time PCR products, offset by general market weakness, especially in Europe. Currency neutral sales growth in the Life Science segment was primarily in Asia Pacific and North America, while European sales declined.
The Clinical Diagnostics segment reported sales for the first half of 2010 of $613.9 million, an increase of 15.4% compared to the same period last year, with Biotest contributing approximately 5.1% to the sales growth. On a currency neutral basis, sales increased 12.3% including Biotest compared to the first half of 2009. Clinical Diagnostics product lines generating growth were immunohematology (before the contribution of Biotest), quality controls and reagent products. Sales growth was primarily in Asia Pacific.
Consolidated gross margins were 57.0% for the first half of 2010 compared to 56.9% for the first half of 2009. Life Science segment gross margins for the first half of 2010 improved from the same period last year by approximately 1.6%. The increase was primarily due to improved manufacturing overhead absorption and a reduction in costs. Clinical Diagnostics segment gross margins for the first half of 2010 decreased by approximately 0.7% from the same period last year. The Biotest acquisition had a negative impact on Clinical Diagnostics gross margins due to purchase accounting and overall generally lower margins than historical segment gross margins as a result of current lower volumes and a current higher cost structure. Offsetting this decrease in gross margins was the settlement of intellectual property disputes.
Selling, general and administrative expenses (SG&A) represented 33.6% of sales for the first half of 2010 compared to 34.3% of sales for the first half of 2009. Growth in absolute SG&A spending was less than sales growth. Increases were primarily driven by employee related costs, marketing, travel and professional services.
Research and development expense increased to $84.1 million in the first half of 2010 compared to $79.6 million in the first half of 2009. Life Science segment research and development expense increased from the prior year period. Life Science segment efforts concentrated on genomics, proteomics and process chromatography applications. Clinical Diagnostics segment research and development expense increased from the prior year period. The majority of the increase was related to immunohematology, with additional emphasis in clinical systems, clinical microbiology and blood virus diagnostic tests.
Corporate Results - Other Items
Interest expense for the first half of 2010 increased by $10.6 million compared to the first half of 2009. An additional $300 million of 8.0% Senior Subordinated Notes due in 2016 were issued in May 2009, which increased our interest expense compared to the prior year period. Our other principal debt obligations are the 2003 and 2004 Senior Subordinated Notes totaling $425.0 million, which carry fixed rates of interest of 7.5% and 6.125%, respectively.
Foreign currency exchange gains and losses consist of foreign currency transaction gains and losses on intercompany net receivables and payables and the change in fair value of our forward foreign exchange contracts used to manage our foreign currency exchange risk. Foreign currency exchange losses, net for the six months ended June 30, 2010 and 2009 were primarily attributable to market volatility, costs to hedge and the result of the estimating process inherent in the timing of shipments and payments of intercompany debt.
Other income, net for the first half of 2010 was $3.3 million compared to $5.1 million for the first half of 2009. The decrease primarily resulted from non-recurring income of $4.6 million in 2009 related to the relief of a foreign non-income based tax obligation, partially offset by $2.5 million of other-than-temporary impairment of investments.
Our effective tax rate was 30% and 23% for the first half of 2010 and 2009, respectively. The effective tax rates for the first half of 2010 and 2009 both reflected tax benefits for nontaxable dividend income, research and development tax credits, and differences between U.S. and foreign rates. The higher effective tax rate for the first half of 2010 was primarily due to a decline in the percentage of total earnings earned in lower tax jurisdictions, the expiration of the research and development tax credit in the U.S. and an increase in the liability for uncertain tax positions.
Our effective tax rate may be impacted in the future, either favorably or unfavorably, by many factors including but not limited to statutory tax rates, changes in tax laws or regulations, tax audits and settlements, and generation of tax credits.
Liquidity and Capital Resources
Bio-Rad operates and conducts business globally, primarily through subsidiary companies established in the markets in which we trade. Goods are manufactured in a small number of locations, and are then shipped to local distribution facilities around the world. Our product mix is diversified, and certain products compete largely on product efficacy, while others compete on price.
Gross margins are generally sufficient to exceed normal operating costs. Funding for research and development of new products as well as routine outflows of capital expenditure and tax expense are covered by cash flow from operations. Our cash flow from operations is also sufficient to make interest payments. In addition to the annual positive cash flow from operating activities, additional liquidity is readily available via the sale of short-term investments and access to our $200.0 million Amended and Restated Credit Agreement (Credit Agreement) that was entered into in June 2010. Borrowings under the Credit Agreement are on a revolving basis and can be used to make acquisitions, for working capital and for other general corporate purposes. We had no outstanding balance under the Credit Agreement as of June 30, 2010. The Credit Agreement expires on June 21, 2014.
At June 30, 2010, we had available $717.7 million in cash, cash equivalents and short-term investments. Under domestic and international lines of credit, we had $247.0 million available for borrowing as of June 30, 2010, of which $12.6 million is reserved for standby letters of credit issued by our banks to guarantee our obligations to various companies. Management believes that this availability together with cash flow from operations, will be adequate to meet our current objectives for operations, research and development, capital additions for manufacturing and distribution, plant and equipment, information technology systems and future acquisitions for the foreseeable future.
Cash Flows from Operations
Net cash provided by operations was $58.7 million and $111.9 million for the six months ended June 30, 2010 and 2009, respectively. The net decrease of $53.2 million primarily represents an increase in cash paid to suppliers including higher royalty payments and settlement payments of intellectual property disputes, higher payments on income taxes and higher interest payments from the $300 million bond offering in May 2009, partially offset by an increase in cash received from customers compared to the prior periods. Cash received from customers was at a slower rate than expected in 2010 due to a slowdown of cash collections in some European countries. We continue to focus on cash flow improvements as a global company-wide goal.
Cash Flows from Investing Activities
Net capital expenditures totaled $35.6 million and $33.4 million for the six months ended June 30, 2010 and 2009, respectively. Capital expenditures represent the addition and replacement of production machinery and research equipment, ongoing manufacturing and facility additions for expansions, regulatory and environmental compliance, and leasehold improvements. Also included in capital expenditures are investments in business systems and data communication upgrades and enhancements. We anticipate accelerating expenditures in future periods to initiate expanding e-commerce platforms internationally and implementation of a global ERP system. These projects have not had the anticipated cash outflow as we have increased our due diligence in the selection of a system provider. All periods included reagent rental equipment placed with Clinical Diagnostics customers who then contract to purchase our reagents for use.
On January 6, 2010, we acquired certain diagnostic businesses of Biotest for 45 million Euros (approximately $64.9 million) in cash. This acquisition is included in our Clinical Diagnostics segment. We continue to review possible acquisitions to expand both our Life Science and Clinical Diagnostics segments.
We routinely meet with the principals or brokers of the subject companies. It is not certain that any of these transactions will advance beyond the preliminary stages to completion.
Cash Flows from Financing Activities
Net cash provided by financing activities was $4.2 million and $291.1 million for the six months ended June 30, 2010 and 2009, respectively. Cash provided in 2010 was primarily due to net proceeds from common stock, partially offset by repayments of long-term debt. Cash provided in 2009 was primarily due to the $300 million 8.0% Senior Subordinated Notes due in 2016 that was issued in May 2009. We have outstanding Senior Subordinated Notes due in 2013, 2014 and 2016 of $225.0 million, $200.0 million and $300.0 million, respectively.
http://biz.yahoo.com/e/100806/bio10-q.html
SAE
14 years ago
Bio-Rad Reports First-Quarter 2010 Financial Results
HERCULES, CA -- (Marketwire)
05/04/10
Bio-Rad Laboratories, Inc. (NYSE: BIO) and
(NYSE: BIO.B), a multinational manufacturer and distributor of life science
research and clinical diagnostic products, announced financial results
today for the first quarter ended March 31, 2010.
First-quarter reported revenues were $454.2 million, up 13.3% compared to
$400.9 million reported for the first quarter of 2009. On a
currency-neutral basis, quarterly revenues increased 7.9% compared to the
same period last year. This increase was due to a combination of organic
growth across Bio-Rad's two main areas, Life Science and Clinical
Diagnostics, and the addition of certain diagnostics businesses of Biotest
AG to the Company's portfolio in the first quarter of 2010 that resulted in
additional revenue in the first quarter of $12.7 million. Excluding the
revenue from the Biotest acquisition, first-quarter revenues were up 10.1%
or 4.9% on a currency neutral basis, compared to the same period last year.
Net income attributable to Bio-Rad for the first quarter of 2010 was $34.9
million, or $1.24 per share on a fully diluted basis compared to $1.10 per
share, during the same period last year. First-quarter gross margin was
56.6% compared to 57.1% during the same quarter last year.
"Performance so far this year reflects strength across many of our product
areas," said Norman Schwartz, Bio-Rad President and Chief Executive
Officer. "During the first quarter we were pleased to add the new
diagnostics businesses to our operation. As the year continues, we will
focus on the seamless integration of these new products into our
organization and look for other opportunities to invest in our future."
Life Science
The Life Science segment net sales for the first quarter were $151.4
million, up 7.9% compared to the same period last year. On a
currency-neutral basis, Life Science segment sales increased by 3.4%. The
core Life Science product lines, excluding the impact from the BSE (bovine
spongiform encephalopathy) product line, grew at 9.7% compared to the same
period last year, or 5.3% on a currency-neutral basis. Performance in the
Life Science segment during the first quarter benefited from sales of the
ProteOn? protein interaction array system as well as the Company's next
generation PCR instruments, in particular, the CFX96? real-time thermal
cycler.
Bio-Rad's Mini-PROTEAN® TGX precast electrophoresis gel product line,
which launched in March, is gaining rapid customer acceptance by offering
ultra-fast time to results, high resolution, and extended shelf life. Also
in March, the Company introduced its TC10? automated cell counter, which
accurately provides total mammalian cell counts in 30 seconds or less,
providing a simple, rapid, and reproducible alternative to researchers who
manually count cells under the microscope using a hemocytometer.
Clinical Diagnostics
The Clinical Diagnostics segment reported net sales of $299.8 million for
the first quarter, up 16.4% compared to the prior-year quarter. On a
currency-neutral basis, net sales were up 10.5%. Excluding revenue from the
Biotest acquisition, net sales were up 11.5%, or 5.8% on a currency-neutral
basis, from the same period last year. These gains were largely due to
growth across all product line most notably quality controls, blood typing,
and diabetes monitoring. During the first quarter, Bio-Rad acquired
certain diagnostics businesses from Biotest AG, including its diagnostics
products in the areas of blood transfusion testing, transplantation, and
infectious diseases. Also during the quarter, Bio-Rad announced the launch
of an anti-CCP test for markets outside the U.S. The assay runs on
Bio-Rad's BioPlex® 2200 system and measures anti-CCP (anti-cyclic
citrullinated peptide antibodies), a novel marker that has been shown to
have superior specificity in the diagnosis of rheumatoid arthritis.
Management will discuss these results in a conference call at 2 PM Pacific
Time (5 PM Eastern Time) May 4, 2010. Interested parties may access the
call by dialing 800-599-9829 (in the U.S.) or 617-847-8703 (international),
access number 91876357.
A live webcast of the conference call may be accessed in the "Investor
Relations" section of www.bio-rad.com. A replay of the call will be
available at 888-286-8010 (in the U.S.) or 617-801-6888 (international),
access number 68368901, for seven days following the call. The webcast of
the call will be archived on the Bio-Rad site for on-demand replay for up
to a year and may be accessed in the "Investor Relations" section of
www.bio-rad.com.
Internal Investigation
The Company disclosed today that, based on an internal review by the
Company, the Company has identified conduct in certain of our overseas
operations that may have violated the anti-bribery provisions of the United
States Foreign Corrupt Practices Act ("FCPA"), the FCPA's books and records
and internal controls provisions, and the Company's own internal policies.
The Company has not assessed at this time whether any of the activities in
question violated the laws of the foreign jurisdictions in which they took
place. In May 2010, the Company voluntarily disclosed these matters to the
U.S. Department of Justice ("DOJ") and the Securities and Exchange
Commission ("SEC"). The Audit Committee of the Board of Directors has
assumed direct responsibility for reviewing these matters and has hired
experienced counsel to conduct an investigation and provide legal advice.
The Company intends to provide additional information to the DOJ and the
SEC as the Audit Committee's investigation progresses.
The Company is presently unable to predict the duration, scope, or result
of the Audit Committee's investigation, of any investigations by the DOJ or
the SEC or whether either agency will commence any legal action. The
outcome of any of the foregoing actions could have a material adverse
effect on our business.
About Bio-Rad
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), has remained at
the center of scientific discovery for more than 50 years, manufacturing
and distributing a broad range of products for the life science research
and clinical diagnostic markets. The Company is renowned worldwide among
hospitals, universities, major research institutions, as well as
biotechnology and pharmaceutical companies for its commitment to quality
and customer service. Founded in 1952, Bio-Rad is headquartered in
Hercules, California, and serves more than 85,000 research and industry
customers worldwide through its global network of operations. The Company
employs over 6,800 people globally and had revenues of nearly $1.8 billion
in 2009. For more information, visit www.bio-rad.com.
This release contains certain forward-looking statements within the meaning
of the Private Securities Litigation Reform Act of 1995 and Section 21E of
the Securities Exchange Act of 1934. Forward-looking statements generally
can be identified by the use of forward-looking terminology such as,
"believe," "expect," "may," "will," "intend," "estimate," "continue," or
similar expressions or the negative of those terms or expressions. Such
statements involve risks and uncertainties, which could cause actual
results to vary materially from those expressed in or indicated by the
forward-looking statements. For further information regarding the Company's
risks and uncertainties, please refer to the "Risk Factors" in the
Company's public reports filed with the Securities and Exchange Commission,
including the Company's most recent Annual Report on Form 10-K, Quarterly
Reports on Form 10-Q and Current Reports on Form 8-K. The Company cautions
you not to place undue reliance on forward-looking statements, which
reflect an analysis only and speak only as of the date hereof. Bio-Rad
Laboratories, Inc., disclaims any obligation to update these
forward-looking statements.
Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Income
(in thousands, except per share data)
(UNAUDITED)
Three Months Ended
March 31,
--------------------------
2010 2009
------------ ------------
Net sales $ 454,234 $ 400,933
Cost of goods sold 197,107 172,031
------------ ------------
Gross profit 257,127 228,902
Selling, general and administrative expense 153,617 140,313
Product research and development expense 40,263 37,152
------------ ------------
Income from operations 63,247 51,437
Interest expense 14,444 7,807
Foreign exchange gains, net (217) (774)
Other (income) expense, net (799) 1,159
------------ ------------
Income before taxes 49,819 43,245
Provision for income taxes (14,427) (11,202)
------------ ------------
Net income including noncontrolling interests 35,392 32,043
Less: Net income attributable to
noncontrolling interests (531) (1,778)
------------ ------------
Net income attributable to Bio-Rad $ 34,861 $ 30,265
============ ============
Basic earnings per share:
Net income attributable to Bio-Rad $ 1.27 $ 1.11
============ ============
Weighted average common shares 27,545 27,321
============ ============
Diluted earnings per share:
Net income attributable to Bio-Rad $ 1.24 $ 1.10
============ ============
Weighted average common shares 28,072 27,618
============ ============
Bio-Rad Laboratories, Inc.
Condensed Consolidated Balance Sheets
(In thousands)
(UNAUDITED)
March 31, December 31,
2010 2009
------------- -------------
Current assets:
Cash and cash equivalents $ 598,134 $ 649,938
Short-term investments 93,648 94,876
Accounts receivable, net 344,989 345,734
Inventories, net 380,707 351,206
Other current assets 125,809 120,920
------------- -------------
Total current assets 1,543,287 1,562,674
Property, plant and equipment, net 313,549 302,417
Goodwill, net 335,085 327,626
Purchased intangibles, net 213,342 204,779
Other assets 141,609 138,357
------------- -------------
Total assets $ 2,546,872 $ 2,535,853
============= =============
Current liabilities:
Accounts payable $ 99,160 $ 92,988
Accrued payroll and employee benefits 106,261 126,702
Notes payable and current maturities of
long-term debt 5,104 5,132
Income and other taxes payable 41,881 42,322
Other current liabilities 145,764 152,828
------------- -------------
Total current liabilities 398,170 419,972
Long-term debt, net of current maturities 738,662 737,919
Other long-term liabilities 109,117 98,749
------------- -------------
Total liabilities 1,245,949 1,256,640
Bio-Rad stockholders' equity 1,282,187 1,259,726
Noncontrolling interests 18,736 19,487
------------- -------------
Total stockholders' equity 1,300,923 1,279,213
------------- -------------
Total liabilities and stockholders'
equity $ 2,546,872 $ 2,535,853
============= =============
Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Cash Flows
(In thousands)
(UNAUDITED)
Three Months
Ended March 31,
2010 2009
------------ ------------
Cash flows from operating activities:
Cash received from customers $ 445,669 $ 395,356
Cash paid to suppliers and employees (389,505) (375,628)
Interest paid (21,086) (8,775)
Income tax payments (13,279) (6,012)
Other operating activities 470 1,430
------------ ------------
Net cash provided by operating activities 22,269 6,371
Cash flows from investing activities:
Payment for acquisitions and long-term
investments (66,496) (441)
Other investing activities (10,518) (12,275)
------------ ------------
Net cash used in investing activities (77,014) (12,716)
Cash flows from financing activities:
Payments on long-term borrowings (1,595) (1,882)
Other financing activities 2,628 (161)
------------ ------------
Net cash provided by (used in) financing
activities 1,033 (2,043)
Effect of foreign exchange rate changes on cash 1,908 (3,266)
------------ ------------
Net decrease in cash and cash equivalents (51,804) (11,654)
Cash and cash equivalents at beginning of
period 649,938 204,524
------------ ------------
Cash and cash equivalents at end of period $ 598,134 $ 192,870
============ ============
Reconciliation of net income including
noncontrolling interests to net cash
provided by operating activities:
Net income including noncontrolling interests $ 35,392 $ 32,043
Adjustments to reconcile net income including
noncontrolling interests to net cash provided
by operating activities:
Depreciation and amortization 27,548 22,327
Changes in working capital (32,746) (46,871)
Other (7,925) (1,128)
------------ ------------
Net cash provided by operating activities $ 22,269 $ 6,371
============ ============
For more information contact:
Christine Tsingos
Vice President and Chief Financial Officer
or
Ron Hutton
Treasurer
Bio-Rad Laboratories, Inc.
510-724-7000
Email Contact
locksflooring
14 years ago
Bio-Rad Reports Record Fourth-Quarter and Full-Year 2009 Financial Results
Date : 02/24/2010 @ 4:24PM
Source : MarketWire
Stock : Bio-Rad Laboratories (BIO)
Quote : 97.97 1.03 (1.06%) @ 4:48PM
Bio-Rad Reports Record Fourth-Quarter and Full-Year 2009 Financial Results
HERCULES, CA -- (Marketwire) -- 02/24/10 --
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), a multinational manufacturer and distributor of life science research and clinical diagnostic products, announced financial results today for the fourth quarter and fiscal year ended December 31, 2009.
Fourth-quarter reported revenues were $495.1 million, up 10.5% compared to $448.0 million reported for the fourth quarter of 2008. On a currency-neutral basis, quarterly revenues increased 4.3% compared to the same period last year. This increase was the result of organic growth across Bio-Rad's two main areas, Life Science and Clinical Diagnostics.
Fourth-quarter gross margin was 54.2% compared to 55.1% during the same quarter last year.
Net income attributable to Bio-Rad for the fourth quarter of 2009 was $37.9 million, or $1.35 per share on a fully diluted basis compared to ($0.30) per share, during the same period last year. The fourth quarter 2008 loss was a result of non-cash impairment charges of $35.0 million. Included in the fourth quarter of 2009 were non-cash impairment charges of $3.8 million.
For the full year, sales grew by 1.1% to $1,784.2 million compared to $1,764.4 million in 2008. After normalizing for the impact of currency effects, Bio-Rad sales grew by 5.5%.
Full-year net income attributable to Bio-Rad was $144.6 million, or $5.20 per share on a fully diluted basis, compared to $89.5 million, or $3.24 per share, respectively, in 2008. Full-year gross margin was 56.0% compared to last year's figure of 54.6%. This improvement in gross margin is primarily the result of improved manufacturing planning and utilization as well as a reduction in purchase accounting and royalty-related expenses.
"We are pleased with our performance in the fourth quarter as well as the entire year," said Norman Schwartz, Bio-Rad President and Chief Executive Officer. "We approached 2009 with caution as the world faced some tough economic conditions. Yet in spite of those challenges, 2009 turned out to be another successful year for Bio-Rad. Looking ahead to 2010, we will focus on the integration of the diagnostics businesses of Biotest AG that Bio-Rad acquired in January and the introduction of new products."
Life Science
The Life Science segment net sales for the fourth quarter were $191.0 million, up 12.1% compared to the same period last year. On a currency-neutral basis, Life Science segment sales increased by 6.6%.
Full-year reported revenues for the Life Science segment were $631.5 million, down 1.9% over the prior year, or an increase of 0.8% on a currency-neutral basis. Performance in the Life Science segment during the fourth quarter benefited from sales of the Company's next generation PCR instruments, in particular, the CFX96? real-time thermal cycler. Segment performance was also boosted by sales of the Company's protein separation and analysis tools including electrophoresis, chromatography, and imaging products as well as sales of the ProteOn? protein interaction array system. During the quarter, the segment launched the Mini-PROTEAN® TGX precast electrophoresis gel product line, which delivers ultra-fast time to results, high resolution, and extended shelf life.
Clinical Diagnostics
The Clinical Diagnostics segment reported net sales of $300.5 million for the fourth quarter, up 9.7% compared to the prior-year quarter. On a currency-neutral basis, net sales were up 2.9%. Full-year reported revenues for the Clinical Diagnostics segment were $1,139.9 million, an increase of 3.0% over the prior year. On a currency-neutral basis, full-year sales increased 8.5% compared to 2008 results. Performance in the Clinical Diagnostics segment during the fourth quarter was the result of growth across all product lines, most notably quality controls, blood typing, and diabetes monitoring. During the fourth quarter, Bio-Rad announced that it had signed an agreement to acquire certain diagnostics businesses of Biotest AG, including its diagnostics products in the areas of blood transfusion testing, transplantation, and infectious diseases. (The transaction was completed in the first quarter of 2010).
2009 Full-Year Highlights
-- Full-year Company sales grew by 1.1% to $1,784.2 million.
-- Full-year net income attributable to Bio-Rad was $144.6 million, or $5.20 per share on a fully diluted basis, compared to $89.5 million, or $3.24 per share, respectively, in 2008.
-- In April, the Life Science segment launched its SsoFast? EvaGreen® Supermix, the first member of Bio-Rad's next-generation family of high-performance, real-time PCR reagents.
-- In June, the Clinical Diagnostics segment announced that it had received FDA clearance of two new multiplex infectious disease serology panels for use on the BioPlex 2200 system: the BioPlex ToRC IgG panel and the BioPlex HSV-1 & HSV-2 IgG panel. The ToRC IgG kit simultaneously detects IgG class antibodies to Toxoplasma gondii (T. gondii), Rubella, and Cytomegalovirus (CMV). The HSV-1 & HSV-2 IgG kit utilizes type-specific proteins to simultaneously detect and differentiate IgG class antibodies to the two most common herpes subtypes, HSV-1 and HSV-2.
-- In September, Bio-Rad and Bruker Corporation, a manufacturer of mass spectrometry (MS) instruments, announced the launch of the Lucid Proteomics System, which improves the possibility of discovering biomarkers that have clinical relevance.
-- Also in September, Bio-Rad announced the launch of Unity Real Time® 2.0, the latest version of its expert QC Data Management solution. The platform is designed to manage laboratory QC and to validate analytical runs.
-- In October, Bio-Rad announced it had signed an agreement to acquire certain diagnostics businesses of Biotest AG, including its diagnostics products in the areas of blood transfusion testing, transplantation, and infectious diseases. (The transaction was completed in the first quarter of 2010).
Management will discuss these results in a conference call at 2 PM Pacific Time (5 PM Eastern Time) February 24, 2010. Interested parties may access the call by dialing 866-277-1181 (in the U.S.) or 617-597-5358 (international), access number 83859462. The live webcast can be accessed at http://www.bio-rad.com. A replay of the call will be available at 888-286-8010 (in the U.S.), or 617-801-6888 (international), access number 44802116 for seven days following the call, and the webcast can be accessed at http://www.bio-rad.com for 30 days.
About Bio-Rad
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), has remained at the center of scientific discovery for more than 50 years, manufacturing and distributing a broad range of products for the life science research and clinical diagnostic markets. The Company is renowned worldwide among hospitals, universities, major research institutions, as well as biotechnology and pharmaceutical companies for its commitment to quality and customer service. Founded in 1952, Bio-Rad is headquartered in Hercules, California, and serves more than 85,000 research and industry customers worldwide through its global network of operations. The Company employs over 6,700 people globally and had revenues of nearly $1.8 billion in 2009. For more information, visit www.bio-rad.com.
This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements generally can be identified by the use of forward-looking terminology such as, "believe," "expect," "may," "will," "intend," "estimate," "continue," or similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. For further information regarding the Company's risks and uncertainties, please refer to the "Risk Factors" in the Company's public reports filed with the Securities and Exchange Commission, including the Company's most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. The Company cautions you not to place undue reliance on forward-looking statements, which reflect an analysis only and speak only as of the date hereof. Bio-Rad Laboratories, Inc., disclaims any obligation to update these forward-looking statements.
Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Income
(in thousands, except per share data) (UNAUDITED)
Three Months Ended Twelve Months Ended December 31, December 31, ------------------------ ------------------------ 2009 2008 2009 2008 ----------- ----------- ----------- ----------- Net sales $ 495,073 $ 447,965 $ 1,784,244 $ 1,764,365 Cost of goods sold 226,604 201,289 784,401 801,843 ----------- ----------- ----------- ----------- Gross profit 268,469 246,676 999,843 962,522
Selling, general and administrative expense 163,862 154,497 601,468 591,304 Product research and development expense 44,510 41,120 163,585 159,518 Impairment losses on goodwill and long-lived assets 3,802 28,757 3,802 28,757 ----------- ----------- ----------- ----------- Income from operations 56,295 22,302 230,988 182,943
Interest expense 14,363 7,985 47,024 32,113 Foreign exchange losses 1,754 5,238 5,003 7,634 Other (income) expense, net (1,915) 5,020 (6,871) 353 ----------- ----------- ----------- ----------- Income before taxes 42,093 4,059 185,832 142,843
Provision for income taxes (3,571) (10,567) (36,667) (44,579) ----------- ----------- ----------- ----------- Net income (loss) including noncontrolling interests 38,522 (6,508) 149,165 98,264
Less: Net income attributable to noncontrolling interests (660) (1,708) (4,545) (8,754) ----------- ----------- ----------- ----------- Net income (loss) attributable to Bio-Rad $ 37,862 $ (8,216) $ 144,620 $ 89,510 =========== =========== =========== ===========
Basic earnings (loss) per share: Net income (loss) attributable to Bio-Rad $ 1.38 $ (0.30) $ 5.28 $ 3.30 =========== =========== =========== ===========
Weighted average common shares 27,491 27,278 27,404 27,112 =========== =========== =========== ===========
Diluted earnings (loss) per share: Net income (loss) attributable to Bio-Rad $ 1.35 $ (0.30) $ 5.20 $ 3.24 =========== =========== =========== ===========
Weighted average common shares 28,006 27,278 27,828 27,638 =========== =========== =========== ===========
Bio-Rad Laboratories, Inc.
Condensed Consolidated Balance Sheets
(In thousands) (UNAUDITED)
December 31, December 31, 2009 2008 ----------- ----------- Current assets: Cash and cash equivalents $ 649,938 $ 204,524 Short-term investments 94,876 38,950 Accounts receivable, net 345,734 339,653 Inventories 351,206 375,616 Other current assets 120,920 135,198 ----------- ----------- Total current assets 1,562,674 1,093,941
Property, plant and equipment, net 302,417 300,732 Goodwill, net 327,626 321,820 Purchased intangibles, net 204,779 228,590 Other assets 138,357 92,181 ----------- ----------- Total assets $ 2,535,853 $ 2,037,264 =========== ===========
Current liabilities: Accounts payable $ 92,988 $ 117,982 Accrued payroll and employee benefits 126,702 119,420 Notes payable and current maturities of long-term debt 5,132 9,578 Income and other taxes payable 42,322 33,731 Other current liabilities 152,828 137,323 ----------- ----------- Total current liabilities 419,972 418,034
Long-term debt, net of current maturities 737,919 445,979 Other long-term liabilities 98,749 102,611 ----------- ----------- Total liabilities 1,256,640 966,624
Bio-Rad stockholders' equity 1,259,726 1,041,139 Noncontrolling interests 19,487 29,501 ----------- ----------- Total stockholders' equity 1,279,213 1,070,640 ----------- ----------- Total liabilities and stockholders' equity $ 2,535,853 $ 2,037,264 =========== ===========
Bio-Rad Laboratories, Inc.
Condensed Consolidated Statements of Cash Flows
(In thousands) (UNAUDITED)
Year Ended December 31,
2009 2008 ----------- -----------
Cash flows from operating activities: Cash received from customers $ 1,778,316 $ 1,765,667 Cash paid to suppliers and employees (1,386,382) (1,495,669) Interest paid (38,471) (30,792) Income tax payments (37,749) (49,159) Other operating activities 9,360 1,324 ----------- ----------- Net cash provided by operating activities 325,074 191,371
Cash flows from investing activities: Payment for acquisitions and long-term investments (35,990) (53,014) Other investing activities (139,962) (93,093) ----------- ----------- Net cash used in investing activities (175,952) (146,107)
Cash flows from financing activities: Long-term borrowings 294,750 1,600 Payments on long-term borrowings (6,823) (11,589) Other financing activities 6,006 16,320 ----------- ----------- Net cash provided by financing activities 293,933 6,331
Effect of foreign exchange rate changes on cash 2,359 (8,835) ----------- -----------
Net increase in cash and cash equivalents 445,414 42,760 Cash and cash equivalents at beginning of year 204,524 161,764 ----------- ----------- Cash and cash equivalents at end of year $ 649,938 $ 204,524 =========== ===========
Reconciliation of net income including noncontrolling interests to net cash provided by operating activities:
Net income including noncontrolling interests $ 149,165 $ 98,264 Adjustments to reconcile net income including noncontrolling interests to net cash provided by operating activities: Depreciation and amortization 101,682 97,088 Impairment losses on goodwill and long-lived assets 3,802 28,757 Changes in working capital 66,707 (46,563) Other 3,718 13,825 ----------- ----------- Net cash provided by operating activities $ 325,074 $ 191,371 =========== ===========
For more information contact: Christine Tsingos Vice President and Chief Financial Officer Ron Hutton Treasurer Bio-Rad Laboratories, Inc.
510-724-7000 Email Contact
SAE
14 years ago
Bio-Rad Reports Third-Quarter Currency-Neutral Revenue Growth of 11 Percent
HERCULES, CA -- (Marketwire) -- 11/03/09 -- Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), a multinational manufacturer and distributor of life science research and clinical diagnostic products, announced financial results today for the third quarter ended September 30, 2009.
Third-quarter reported revenues were $461.1 million, up 4.4% compared to $441.8 million reported for the third quarter of 2008. On a currency-neutral basis, quarterly revenues increased 11.1% compared to the same period last year. This improvement is primarily the result of organic growth across a range of products in Bio-Rad's two main areas, Life Science and Clinical Diagnostics as well as the additional revenue generated from the purchase of certain DiaMed distributors since the third quarter of 2008.
Net income attributable to Bio-Rad for the third quarter was $38.5 million, or $1.38 per share on a fully diluted basis, compared to $27.8 million or $1.00 per share, respectively, during the same period last year.
Third-quarter gross margin increased to 56.5% compared to 54.4% during the same quarter last year.
Year-to-date revenues were $1.3 billion, down 2.1% compared to the first three quarters in 2008. Adjusting for the impact of currency effects, revenue growth was 5.9%. Year-to-date net income attributable to Bio-Rad for 2009 was $106.8 million, or $3.85 per share on a fully diluted basis, compared to $97.7 million, or $3.54 per share, respectively, during the same period in 2008.
"We are pleased with the results of the third-quarter, which show continued strength in many of our product areas," said Norman Schwartz, Bio-Rad President and Chief Executive Officer. "As we had expected, the economy continued to have somewhat of a negative impact on customer spending particularly in our Life Science segment, but we are encouraged by the resiliency we've seen in many of our markets."
Life Science
The Life Science segment net sales for the third quarter were $150.4 million, down 4.1% or 0.4% on a currency-neutral basis, compared to the same period last year. Sales across a number of product lines in the Life Science segment performed well during the quarter, in particular, process chromatography and gene expression products. Performance of the segment also benefited from sales of the Company's ProteOn(TM) protein interaction array system, as many customers began to order additional instruments.
Growth in the Life Science segment was negatively impacted by slowed research markets in both the U.S. and Europe, which reflect constraint and delays in spending by academic and biopharmaceutical customers. In September, Bio-Rad and Bruker Corporation (NASDAQ: BRKR), a manufacturer of mass spectrometry (MS) instruments, announced the launch of the Lucid Proteomics System, which improves the possibility of discovering biomarkers that have clinical relevance.
Clinical Diagnostics
The Clinical Diagnostics segment reported net sales of $307.5 million for the third quarter, up 9.3% compared to the third quarter in 2008. On a currency-neutral basis, sales for the segment increased 17.8%. These gains are the result of strong sales across a number of product lines, including blood virus testing products, quality control products, and the Company's BioPlex® 2200 system. The segment also benefited from additional revenue resulting from the purchase of certain DiaMed European distributors in the fourth quarter of 2008, as well as the purchase of the DiaMed distributor in India in the second quarter of this year. In September, Bio-Rad announced the launch of Unity Real Time® 2.0, the latest version of its expert QC Data Management solution. The platform is designed to manage laboratory QC and to validate analytical runs.
Management will discuss these results in a conference call at 2 PM Pacific Time (5 PM Eastern Time) November 3, 2009. Interested parties may access the call by dialing 866-700-7173 (in the U.S.) or 617-213-8838 (international), access number 78653201.
The live webcast may also be accessed at http://www.bio-rad.com. A replay of the call will be available at 888-286-8010 (in the U.S.), or 617-801-6888 (international), access number 96529078 for seven days following the call, and the webcast can be accessed at http://www.bio-rad.com for 30 days.
About Bio-Rad
Bio-Rad Laboratories, Inc. (NYSE: BIO) and (NYSE: BIO.B), has remained at the center of scientific discovery for more than 50 years, manufacturing and distributing a broad range of products for the life science research and clinical diagnostic markets. The Company is renowned worldwide among hospitals, universities, major research institutions, as well as biotechnology and pharmaceutical companies for its commitment to quality and customer service. Founded in 1952, Bio-Rad is headquartered in Hercules, California, and serves more than 85,000 research and industry customers worldwide through its global network of operations.
The Company employs over 6,500 people globally and had revenues exceeding $1.7 billion in 2008. For more information, please visit www.bio-rad.com.
This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements generally can be identified by the use of forward-looking terminology such as, "believe," "expect," "may," "will," "intend," "estimate," "continue," or similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. For further information regarding the Company's risks and uncertainties, please refer to the "Risk Factors" in the Company's public reports filed with the Securities and Exchange Commission, including the Company's most recent Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. The Company cautions you not to place undue reliance on forward-looking statements, which reflect an analysis only and speak only as of the date hereof. Bio-Rad Laboratories, Inc., disclaims any obligation to update these forward-looking statements.
Bio-Rad Laboratories, Inc. Condensed Consolidated Statements of Income (in thousands, except per share data)
(UNAUDITED) Three Months Ended Nine Months Ended
September 30, September 30,
------------------ ----------------------
2009 2008 2009 2008
-------- -------- ---------- ----------
Net sales $461,055 $441,842 $1,289,171 $1,316,400
Cost of goods sold 200,545 201,300 557,797 600,554
-------- -------- ---------- ----------
Gross profit 260,510 240,542 731,374 715,846Selling, general and
administrative expense 153,623 150,518 437,606 436,807
Research and development
expense 39,516 38,830 119,075 118,398
-------- -------- ---------- ----------
Income from operations 67,371 51,194 174,693 160,641Interest expense 14,487 8,180 32,661 24,128
Foreign exchange losses, net 1,472 91 3,249 2,396
Other (income) expense, net 192 (523) (4,956) (4,667)
-------- -------- ---------- ----------
Income before taxes 51,220 43,446 143,739 138,784Provision for income taxes (11,920) (12,557) (33,096) (34,012)
-------- -------- ---------- ----------
Net income including
noncontrolling interests 39,300 30,889 110,643 104,772
Less: Net income
attributable to
noncontrolling
interests (776) (3,056) (3,885) (7,046)
-------- -------- ---------- ----------Net income attributable to
Bio-Rad $ 38,524 $ 27,833 $ 106,758 $ 97,726
======== ======== ========== ==========Basic earnings per share:
Net income attributable to
Bio-Rad $ 1.40 $ 1.02 $ 3.90 $ 3.61
======== ======== ========== ========== Weighted average common
shares 27,431 27,171 27,375 27,055
======== ======== ========== ==========Diluted earnings per share:
Net income attributable to
Bio-Rad $ 1.38 $ 1.00 $ 3.85 $ 3.54
======== ======== ========== ========== Weighted average common
shares 27,875 27,747 27,749 27,619
======== ======== ========== ==========
Bio-Rad Laboratories, Inc. Condensed Consolidated Balance Sheets (In thousands)
(UNAUDITED) September 30, December 31,
2009 2008
------------- -------------
Current assets:
Cash and cash equivalents $ 554,179 $ 204,524
Short-term investments 87,930 38,950
Accounts receivable, net 350,762 339,653
Inventories, net 383,896 375,616
Other current assets 126,634 135,198
------------- -------------
Total current assets 1,503,401 1,093,941Net property, plant and equipment 305,921 300,732
Goodwill 327,469 321,820
Purchased intangibles, net 216,730 228,590
Other assets 124,685 92,181
------------- -------------
Total assets $ 2,478,206 $ 2,037,264
============= =============
Current liabilities:
Notes payable and current maturities of
long-term debt $ 5,346 $ 9,578
Accounts payable 92,381 117,982
Accrued payroll and employee benefits 118,891 119,420
Sales, income and other taxes payable 53,810 33,731
Other current liabilities 145,267 137,323
------------- -------------
Total current liabilities 415,695 418,034Long-term debt, net of current maturities 738,687 445,979
Other long-term liabilities 96,153 102,611
------------- -------------
Total liabilities 1,250,535 966,624Bio-Rad stockholders' equity 1,208,661 1,041,139
Noncontrolling interests 19,010 29,501
------------- -------------
Total stockholders' equity 1,227,671 1,070,640
------------- -------------
Total liabilities and stockholders'
equity $ 2,478,206 $ 2,037,264
============= =============
Bio-Rad Laboratories, Inc. Condensed Consolidated Statements of Cash Flows (In thousands)
(UNAUDITED) Nine Months Ended
September 30,
2009 2008
----------- -----------Cash flows from operating activities:
Cash received from customers $ 1,291,054 $ 1,318,003
Cash paid to suppliers and employees (1,030,153) (1,152,538)
Interest paid (31,511) (24,141)
Income tax payments (27,746) (31,053)
Other operating activities 7,708 2,759
----------- -----------
Net cash provided by operating activities 209,352 113,030Cash flows from investing activities:
Payments for acquisitions and long-term
investments (35,937) (18,069)
Other investing activities (117,424) (63,799)
----------- -----------
Net cash used in investing activities (153,361) (81,868)Cash flows from financing activities:
Payments on long-term debt (5,253) (9,349)
Long-term borrowings 294,750 -
Other financing activities 2,766 13,758
----------- -----------
Net cash provided by financing activities 292,263 4,409Effect of exchange rate changes on cash 1,401 (3,708)
----------- -----------Net increase in cash and cash equivalents 349,655 31,863
Cash and cash equivalents at beginning of period 204,524 161,764
----------- -----------
Cash and cash equivalents at end of period $ 554,179 $ 193,627
=========== ===========
Reconciliation of net income including
noncontrolling interests to net cash provided
by operating activities:Net income including noncontrolling interests $ 110,643 $ 104,772
Adjustments to reconcile net income including
noncontrolling interests to net cash provided
by operating activities:
Depreciation and amortization 74,003 74,322
Changes in working capital 23,583 (67,670)
Other 1,123 1,606
----------- -----------
Net cash provided by operating activities $ 209,352 $ 113,030
=========== ===========
For more information contact:
Christine Tsingos, Vice President and Chief Financial Officer, or
Ron Hutton, Treasurer
Bio-Rad Laboratories, Inc.
510-724-7000
http://ih.advfn.com/p.php?pid=nmona&cb=1257449580&article=40191531&symbol=NY%5EBIO
buhg1b
16 years ago
Bio-Rad Reports Fourth-Quarter and Full-Year 2007 Financial Results
Marketwire
February 28, 2008: 04:08 PM EST
Bio-Rad Laboratories, Inc. (AMEX: BIO) and (AMEX: BIOb), a multinational manufacturer and distributor of life science research and clinical diagnostics products, announced financial results today for the fourth quarter and fiscal year ended December 31, 2007.
Fourth-quarter revenues were $459.7 million, up 34.0% compared to $343.1 million reported for the fourth quarter of 2006. This increase was due to a combination of organic growth across Bio-Rad's two main product areas, the Life Science and Clinical Diagnostics segments, as well as the addition of DiaMed Holding AG products to the Company's portfolio in the fourth quarter, which resulted in additional revenue of $62.0 million and impacted fourth-quarter and full-year results. Excluding the revenue from the DiaMed acquisition, fourth-quarter revenues were up 15.9%, or 9.0% on a currency-neutral basis, compared to the same quarter last year.
Net income for the fourth quarter was $12.4 million compared to $16.6 million during the fourth quarter last year. These results reflect non-cash charges of $12.9 million, which includes a one-time charge of $7.7 million for purchased in-process R&D, and approximately $5.2 million in amortization of intangibles related to DiaMed. Including the DiaMed acquisition, fourth-quarter basic earnings from operations were $0.46 per share, or $0.45 per share on a diluted basis, compared to $0.63 and $0.61, respectively, during the same period last year. Fourth-quarter gross margin was 50.8% compared to 54.1% during the same quarter last year. The lower margin in the most recent quarter reflects the impact of the DiaMed acquisition including foregone profit margin and the amortization of intangibles.
For the full year, sales grew by 14.7% to $1,461.1 million compared to $1,273.9 million in 2006. Excluding revenue from the DiaMed acquisition, Bio-Rad sales grew by 9.8%, or 5.2% after normalizing for the impact of currency effects. Year-over-year net income was $93.0 million, or $3.41 per share on a diluted basis, compared to $103.3 million, or $3.83 per share, respectively, in 2006. Full-year gross margin was 54.2% compared to last year's figure of 55.9%. Revenues, earnings, and gross margin for 2006 were all favorably impacted by one-time additional revenue of $11.7 million which was the result of a licensing settlement agreement reached with bioMérieux SA in 2006.
"Operationally, 2007 was another year of progress for Bio-Rad and one of investment as we welcomed DiaMed Holding AG into our organization," said Norman Schwartz, Bio-Rad President and Chief Executive Officer. "As 2008 moves forward, we will continue to explore opportunities to expand our business and improve our operational efficiencies."
Life Science
The Life Science segment net sales for the fourth quarter were $184.5 million, up 16.1% compared to the same period last year. On a currency-neutral basis, Life Science segment sales increased by 9.4%. Full-year reported revenues for the Life Science segment were $615.1 million, up 6.9% over the prior year, or 2.7% on a currency-neutral basis. Performance in this segment was boosted by sales of the ProteOn(TM) protein interaction array system, the Bio-Plex® suspension array system and reagents, as well as the ProteinChip® SELDI system. Bio-Plex sales continue to be positively impacted by 57 new assays that were introduced in 2006. Sales of process chromatography media and hardware were strong as the products continued to gain broad market acceptance. These materials are used during the purification stages in the manufacture of a variety of pharmaceuticals with a particular applicability to monoclonal antibody-based medicines. Growth in the Life Science segment was negatively impacted by a drop in BSE (bovine spongiform encephalopathy) testing revenues as both the number of animals tested and the average selling price continues to decline. During the fourth quarter, the segment introduced its next generation polymerase chain reaction (PCR) instruments, which are based on the new 1000-series thermal cycling platform, as well as the ProteoMiner(TM) protein enrichment kits, which provide researchers a way to concentrate and enrich low-and medium-abundance proteins that cannot be detected through traditional methods.
Clinical Diagnostics
The Clinical Diagnostics segment reported net sales of $271.4 million for the fourth quarter, up 50.7% compared to the prior-year quarter. Excluding revenue from the DiaMed acquisition, net sales were up 16.3%, or 9.0% on a currency-neutral basis, from the same period last year. Full-year reported revenues for the Clinical Diagnostics segment were $832.2 million, a 21.5% increase compared to 2006 results. Excluding revenue from the DiaMed acquisition, net sales increased 12.5%, or 7.4% net of currency effects, compared to 2006 results. These results were largely due to continued growth across all product lines, most notably quality controls, autoimmune, diabetes, clinical microbiology, as well as the BioPlex® 2200 system, a revolutionary instrument for the diagnostic laboratory that is continuing to gain market acceptance. In October, the Clinical Diagnostics segment finalized the acquisition of DiaMed Holding AG, a Swiss-based company that develops, manufactures, and markets a complete line of reagents and instruments used in blood typing and screening. Also during the quarter, the segment introduced to the U.S. market, the MRSASelect(TM) test, a chromogenic medium that detects methicillin-resistant Staphylococcus aureus, as well as its in2it(TM) analyzer for the "point-of-care" diabetes market. The in2it analyzer measures A1C, combining laboratory-accurate test results with patient convenience.
2007 Full Year Highlights
-- Full-year Company sales grew by 14.7% to $1,461.1 million.
-- Year-over-year net income was $93.0 million, compared to $103.3
million reported in 2006.
-- In October, the Company purchased 86% of the outstanding stock of
DiaMed for approximately 477 million Swiss francs.
-- During the first quarter, the Company introduced a number of new
products including the Mini-PROTEAN® Tetra cell, Bio-Rad's fourth
generation electrophoresis system, and the Profinia(TM) protein
purification system.
-- Also during the quarter, the Company introduced new assays for use on
its BioPlex 2200 system for the detection of the Epstein Barr Virus as well
as three of the most clinically relevant bacteria that cause syphilis.
-- In the second quarter, the Company signed two multi-year agreements
with Quest Diagnostics to place BioPlex 2200 systems and autoimmune test
reagents as well as HIV test systems and quality controls in their network
of reference laboratories nationwide. In addition, Bio-Rad and Beckman
Coulter announced an agreement regarding the continued development and
manufacture of immunodiagnostic tests for blood virus and infectious
disease.
-- In September, the Company introduced three new ProteinChip SELDI
system qualification and calibration kits that help improve reproducibility
during biomarker discovery.
-- In October, Bio-Rad launched the Gene Pulser MXcell(TM)
electroporation system designed for researchers working with mammalian
cells.
-- In November, the Company introduced to the U.S. market, the MRSASelect
test, a chromogenic medium used for the rapid screening of MRSA
(methicillin resistant Staphylococcus aureus).
-- Also in November, Bio-Rad launched the in2it analyzer for the "point-
of-care" diabetes market. The analyzer measures A1C, a well established
indicator of a diabetic patient's glucose control.
Management will discuss these results in a conference call at 2 p.m. Pacific Time (5 p.m. Eastern Time) February 28, 2008. Interested parties can access the call by dialing 800-659-2037 (in the U.S.), or 617-614-2713 (international), access number 75436489. The live webcast can be accessed at http://www.bio-rad.com. A replay of the call will be available at 888-286-8010 (in the U.S.), or 617-801-6888 (international), access number 38553576, for seven days following the call and the webcast can be accessed at http://www.bio-rad.com for 30 days.
About Bio-Rad
Bio-Rad Laboratories, Inc. (AMEX: BIO) and (AMEX: BIOb) has remained at the center of scientific discovery for more than 50 years manufacturing and distributing a broad range of products for the life science research and clinical diagnostic markets. The company is renowned worldwide among hospitals, universities, major research institutions, as well as biotechnology and pharmaceutical companies for its commitment to quality and customer service. Founded in 1952, Bio-Rad is headquartered in Hercules, California, and serves more than 85,000 research and industry customers worldwide through its global network of operations. The company employs approximately 6,300 people globally and had revenues approaching $1.5 billion in 2007. For more information, visit www.bio-rad.com.
This release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements generally can be identified by the use of forward-looking terminology such as, "believe," "expect," "may," "will," "intend," "estimate," "continue," or similar expressions or the negative of those terms or expressions. Such statements involve risks and uncertainties, which could cause actual results to vary materially from those expressed in or indicated by the forward-looking statements. For further information regarding the Company's risks and uncertainties, please refer to the "Risk Factors" in the Company's public reports filed with the Securities and Exchange Commission, including the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2006, as updated by subsequent Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. The Company cautions you not to place undue reliance on forward-looking statements, which reflect an analysis only and speak only as of the date hereof. Bio-Rad Laboratories, Inc. disclaims any obligation to update these forward-looking statements.
http://money.cnn.com/news/newsfeeds/articles/marketwire/0368590.htm
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